This week, the scorecard recommends buying AUD, JPY, SEK while selling EUR, CHF, USD.
Australian interest rates are currently outperforming other G10 currencies. Both the risk premium and the technical indicators also show strong support for AUD. The scorecard model recommends being long AUD this week despite last week's strong performance. All indicators, with the exception of FX score, favour a long JPY position and the scorecard recommends buying JPY this week.
The short basket this week consists mainly of the euro as all input factors currently favour a short EUR position. Notably, interest rates and technical indicators suggest selling the common currency this week.
Last weeks' signals resulted in an 0.5% gain. The short EUR and the short Scandi positions performed particularly well last week, while the long CAD position was expensive.
Next scorecard signals will be sent out 04 March.
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